Bark Bits Company Is Planning an Advertising Campaign to Raise $$\left[ \begin{array} { c c } .75 & .25 \\.20 & .80\end{array} \right]$$

Essay

Bark Bits Company is planning an advertising campaign to raise the brand loyalty of its customers to .80.
a.The former transition matrix is
$$\left[ \begin{array} { c c } .75 & .25 \\.20 & .80\end{array} \right]$$
What is the new one?
b.What are the new steady state probabilities?
c.If each point of market share increases profit by $15000, what is the most you would pay for the advertising?